Brief: Surteco Group Passes Resolution On Structural Changes

Surteco SE

19/12/2019 13:06

Dec 19 (Reuters) - SURTECO GROUP SE  SURG.DE :
    * SURTECO GROUP SE: RESOLUTION PASSED ON COMPREHENSIVE
STRUCTURAL
MODIFICATIONS; CHANGES IN THE MANAGEMENT BOARD
    * WILL IN FUTURE PLAY AN OPERATIONAL ROLE AND TAKE OVER
EXECUTIVE
MANAGEMENT OF BIGGEST SUBSIDIARY COMPANY SURTECO GMBH
    * SALES COMPANIES IN SPAIN AND TURKEY WILL BE CLOSED
    * MEASURES INVOLVE GROUP STRUCTURES BEING SIGNIFICANTLY
STREAMLINED, PARTICULARLY IN DECORATIVES SEGMENT.
    * AN ADJUSTMENT IN SIZE OF WORKFORCE IS ENVISAGED BY AROUND
175
EMPLOYEES IN GERMANY.
    * ORIGINAL FY FORECAST OF 38 TO 40 MILLION EUROS IS STILL
FORECAST
FOR OPERATING RESULT (EBIT^1 ADJUSTED BY ONE-OFF EXPENSES)
    * SALES COMPANIES IN SPAIN AND TURKEY WILL BE CLOSED
    * OVER MEDIUM TERM, MEASURES REFERRED TO ABOVE SHOULD LEAD
TO AN
EBIT BETWEEN 55 AND 60 MILLION EUROS
    * CFO OF COMPANY, MR. ANDREAS RIEDL, HAS ASKED SUPERVISORY
BOARD
NOT TO EXTEND HIS MANAGEMENT BOARD CONTRACT, WHICH EXPIRES ON 30
JUNE 2020
    * EXPENSES ABOUT 15 TO 20 MILLION EUROS WILL BE INCURRED FOR
THESE
MEASURES, WHICH WILL CONSTITUTE AN OBVIOUSLY NEGATIVE BURDEN ON
RESULT FOR 2019.
    * SUPERVISORY RESOLVED TO EXTEND MANAGEMENT BOARD AND
APPOINT A
CHIEF OPERATING OFFICER
    * AN APPOINTMENT FOR COO WILL BE MADE TO THIS POSITION
DURING
COURSE OF BUSINESS YEAR 2020

Source text for Eikon:  ID:nEQc49mpsa 
Further company coverage:  SURG.DE 

 (Gdansk Newsroom)
 ((gdansk.newsroom@thomsonreuters.com; +48 58 778 51 10;))